Varengold Bank AG

Earnings Release • Aug 3, 2011

News Details

Corporate | 3 August 2011 08:00

Varengold Wertpapierhandelsbank AG: Preliminary figures for the first half of 2011

Varengold Wertpapierhandelsbank AG / Key word(s): Half Year
Results/Half Year Results

03.08.2011 / 08:00

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* Investments in further partnerships place temporary strain on results
* European partnership almost finalised
* Improvements expected in the second six months

Hamburg, 03 August 2011 - Varengold Wertpapierhandelsbank AG (WKN 547930),
a German investment bank with over 15 years experience on the market and an
exclusive focus on asset management with managed futures and capital
markets brokerage, has presented its initial, unaudited results for the
first six months of 2011. The period was shaped by extensive investments in
further partnerships and the development of sales and marketing.
Developments in results in the asset management and capital markets
brokerage segments over the period under review were, furthermore, mixed.
Whilst commission income in asset management rose to 1.6 million euros, far
exceeding the 1.0 million euros for the same period of the previous year,
capital markets brokerage contributed considerably less than in the
previous year: 2.0 million euros (including results from financial
operations) compared to 3.1 million euros. The reasons for this lie both in
the challenging market environment and the end, as expected, to a one-time
extraordinary item from the previous year.

The costs of investments in further partnerships and the development of
sales and marketing resulted in a temporary rise in total administrative
expenses from 2.3 million to 3.3 million euros. EBITDA in the first six
months of 2011 totalled 0.5 million euros, down from 1.8 million euros for
the same period of the previous year.

The expenses outlined above should provide a strong and positive stimulus
in the coming reporting period and produce considerable scale effects.
Negotiations are currently underway on a European partnership in the field
of capital markets brokerage. Whilst overall developments in the first six
months of 2011 were not entirely satisfactory, the Board is expecting
significant improvements in results in the second half of the year in the
light of developments already apparent. It is as yet too early to make a
detailed prognosis which would allow a comparison with market expectations.

Varengold Wertpapierhandelsbank AG plans to publish its half-yearly report
in September 2011 on the company homepage www.varengold.de.

End of Corporate News

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Language: English
Company: Varengold Wertpapierhandelsbank AG
Große Elbstraße 27
22767 Hamburg
Germany
Phone: +49 (0)40 / 668649-0
Fax: +49 (0)40 / 668649-49
E-mail: smeyer@varengold.de
Internet: www.varengold.de
ISIN: DE0005479307
WKN: 547930
Listed: Freiverkehr in Berlin, Düsseldorf, Stuttgart; Entry
Standard in Frankfurt

End of News DGAP News-Service

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